1 Presentation to Czech Republic, Prague, February 2007

2 What is JASPERS ?  ‘Joint Assistance to Support Projects in European Regions’  A technical assistance partnership to prepare major projects between DG REGIO, EIB and EBRD  Objective: increasing the capacity of the beneficiary countries to make the best use of EU funding  Value added: drawing on past experience and expertise of the EIB and the EBRD in a more structured and coordinated way than in the past.  For administrative reasons, JASPERS is a unit within the EIB but separated from its lending activities

3  Focus on priority countries: the 12 ‘new’ Member States including Romania and Bulgaria  JASPERS concentrates on major projects : Transport and other sectors €50 M > capital cost Environment €25 M > capital cost  JASPERS priorities are : large projects supported by the Cohesion Fund and the ERDF (to be intepreted flexibly in the smaller countries) other Cohesion Fund projects other ERDF projects  Horizontal Issues covering more than one country/sector JASPERS activities

4 What does JASPERS offer?  Assistance as required from the early stages of a project through to the decision to grant assistance (by the Commission or the Member State depending on the size of project)  Preparatory work required to deliver a mature project e.g. Advice on conceptual development and project structuring Advice on project preparation e.g. cost-benefit analysis, financial analysis, environmental issues, procurement planning. Review of documentation: feasibility studies, technical design, tender documents. Advice on compliance with EU law (environmental, competition and others) and conformity with EU policies

5 JASPERS: free and voluntary  JASPERS assistance will be provided free of charge to the beneficiary  There is no obligation on the Member States to use JASPERS  There is no obligation on a Member State which benefits from JASPERS to borrow from the EIB or the EBRD  There is no obligation on the EIB or the EBRD to lend to projects prepared using JASPERS  There is no exclusion of EIB or EBRD lending to projects benefiting from JASPERS

6 Legal Responsibilities  JASPERS does not change existing legal responsibilities  JASPERS is an input to the preparation of applications for EU funding  Member States are the 'owners' of the project, not JASPERS; they submit the standard applications as required by the Regulations  Preparation of a project by JASPERS does not guarantee approval of the project by the Commission  The ultimate legal responsibility to grant assistance will remain with the Commission

7 Management of JASPERS  Managing Authority acts as central co-ordinator for each country  The Managing Authority in the Member State can request assistance from JASPERS Steering Committee  JASPERS is actively managed by a Steering Committee with members from DG REGIO, EIB and EBRD  Will seek regular feedback from Member States.

8 JASPERS 56 professional STAFF 32 professionals + 10 support + 10 support 16 professionals 5 to 8 professionals LUXEMBOURG WARSAWVIENNABUCHAREST

9 Organisation & Recruitment  Regional hubs for JASPERS: Warsaw- opened November 2006 Vienna – opening March 2007 Bucharest – opening Spring 2007  30 Technical Experts based in Luxembourg, Vienna, Warsaw and Bucharest being recruited  New staff arrive from January 2007  Significant expansion in JASPERS resources

10 Framework consultancy contracts  Two Framework Contracts to support JASPERS have been let with six consultancies  Three consultancies for each of Transport and Environment/Other sectors  Teams of expert for assignments ‘on call’  Preparation of large infrastructure projects and analysis of horizontal issues (e.g. state aid, grant blending etc.)

11 Action Plans  Priorities and objectives of JASPERS are set out each year in an Action Plan agreed between JASPERS and the beneficiary country  Close coordination of JASPERS operations with DG REGIO country desks  Horizontal issues may also be included in the Action Plan  Development of 2007 Action Plans now going ahead

action plans: Summary  Over 90 projects and actions identified, and support requested in wide range of relevant horizontal issues  Demand in some unexpected sectors (e.g. large energy, broadband telecom, tourism)  JASPERS assitance built up from mid-2006; 78 of 91 projects receiving support at end of 2006  A further 3 projects completed  JASPERS intervention requested for projects totaling €57 Bn grant funding by CF and ERDF

13 JASPERS involvement 2006 Country No. of projects Country Romania26Slovakia4 Poland23Slovenia3 Czech Republic10Cyprus2 Hungary6Latvia2 Bulgaria6Estonia2 Malta5Lithuania2 The total no. of projects is 91

14 JASPERS involvement  Main types of projects Type of project No. of project Type of project No. of projects Water/Wastewater21Rail17 Solid waste10Road12 Oil and gas7Urban Transport7 Energy6Ports4 Brownfield Rehab3Other4 The total no. of projects is 91

15 Practical rules of JASPERS assistance JASPERS projects have to be included under one of the operational programmes (transport > €50 M, e nvironment > €25 M ) in close coordination with DG REGIO country desks 2.Each individual project proposal (including scope of JASPERS input) has to be agreed with the Management Authority (Ministry of Regional Development) and included in the annual Action Plan 3.Action Plans for 2007 being agreed between JASPERS and the Managing Authority (Horizontal Issues can also be included) 4.JASPERS support can be provided as the complementary help in project preparation but can not substitute activities of the beneficiary

16 Practical rules of JASPERS assistance JASPERS advice is heavily based on the experience and best practice in development of projects in the other European countries in particular EU-15 6.Support can be provided at any time from the very early stage of a project development through to the preparation of grant application 7.At the request of beneficiary the assistance can either comprise of in-depth analysis/review supporting the decision making process or just confirmation/second opinion on the selected approach

17 Example Actions  POLAND – Warsaw Ring Road, Public Transport in Krakow and Lublin, Flood Protection, Broadband  ROMANIA – Rolling Stock, River Navigation, Multi-modal terminals, Regional Airports, Regionalisation of Water Companies  BULGARIA – PPP Motorway, River Navigation  HUNGARY – Provincial Urban Transport, 8 Water schemes  SLOVENIA – ERTMS installation  SLOVAKIA – Motorways, Water Supply and Treatment  MALTA – Ports upgrades  CYPRUS – New Urban Transport in Nicosia

18 Case 1: Grant Rate calculation for Water Projects  Project: Puszcza Zielonka Landscape Protection Area Sewerage - Poland (Cohesion Funds)  JASPERS task: Review financing gap analysis in already- submitted application Remodel financial analysis Recommend grant co- financing rate  JASPERS output: Recommend adjusting grant rate from 81% to 76% Application resubmitted by Polish authorities to EC

19 Case 2: Complex Solid Waste Project (Sofia Waste)  Current Situation: City has closed existing landfill; waste is baled and stored Waste incineration being considered by City  JASPERS recommendations Identify long term landfill solution (needed whether or not incineration proceeds) Identify landfill for temporary storage or re- open existing facility Treat project as a national as well as local priority  Next steps: Project now included in Operational Programme Once landfill site identified, JASPERS will support further project preparation on a phased basis

20 Case 3: Railway line no 8 Warsaw- Radom-Kielce  Project: Modernization of the railway line Warsaw- Radom-Kielce  JASPERS task: Support to the Polish Railway Lines (PLK S.A.) and review/verification of the: Feasibility Study (including analysis of alternatives) Cost Benefit Analysis Environmental Impact Assessment Application for CF  JASPERS on-going activity: review and comments on outputs of consultant appointed by PLK

21 Case 4: Rail Rolling Stock Project Support  Project: Romania Rail Rolling Stock Funding (ERDF)  JASPERS task completed: Support Romanian authorities prepare ToR for: Rolling stock needs assessment Feasibility study Prepare ERDF application Prepare tender documentation  JASPERS on-going activity: support supervision of selected consultant, review outputs, review draft application.

22 Case 5: Warsaw Ring Road  Project: Construction of the expressway S-8 section Konotopa - Powazkowska  JASPERS task: Support to the Warsaw Office of GDDKiA and review/verification of the: Feasibility Study Environmental Impact Assessment Application for CF  JASPERS on-going activity: review of pre-feasibility studies and environmental reports, review outputs of the FS consultant, review draft application.

23 Case 6: Broadband telecom Concept Development  Project: Broadband development in Eastern Poland (covers 9 million people)  JASPERS on-going actions: Help prepare project outline Consultant recruited to develop project concept Review meeting with DG Regio / Competition / Infso re structuring and state aid  JASPERS 2007 actions: Draft ToR for feasibility study Help supervise feasibility study Help prepare ERDF application OP Development of Eastern Poland

24 Case 7: horizontal issue – PPP and grant blending  JASPERS task: Review impact of new regulations Identify models for CF/ERDF blended projects Identify potential cases from Ops Input to structuring for selected projects  On-going actions: Working paper on implication of new regulations under development